Boeing to sell navigation unit to Thoma Bravo for $10.6bn

New York — US plane maker Boeing said on Tuesday it would sell portions of its Digital Aviation Solutions business, including navigation unit Jeppesen, to private equity firm Thoma Bravo for $10.55bn.

Boeing will retain the core digital capabilities from the business that harness aircraft and fleet data to provide commercial and defence customers with fleet maintenance, diagnostics and repair services.

The sale is a part of CEO Kelly Ortberg’s plan to reduce Boeing’s debt pile by offloading noncore assets. Its shares were up about 1.5%.

Jeppesen attracted interest from private equity firms and at least one aerospace supplier, with final bids valuing it at more than $8bn. Boeing acquired Jeppesen for $1.5bn in 2000. It had aimed for a price above $6bn when it launched the auction in 2024, but strong interest from potential buyers drove the valuation higher.

Thoma Bravo won the Jeppesen auction, edging out rival buyout firms such as TPG, Advent and Veritas, according to four sources.

Englewood, Colorado-based Jeppesen is seen as a sought-after asset that could boost aerospace contractors and private equity firms, which typically like to buy businesses to generate steady cash flow.

About 3,900 employees work in Boeing’s Digital Aviation Solutions. The transaction is expected to close by the end of 2025.

In February, British Airways said it was buying Boeing’s maintenance operation at Gatwick Airport near London. Boeing is separately attempting to offload its drone business Insitu.

Boeing is set to report first-quarter results on Wednesday.

Reuters